Sudans Agree to Resume Oil Flow

By

Nicholas Bariyo and

Jenny Gross

Updated March 13, 2013 3:22 a.m. ET

KAMPALA, Uganda—Former civil war foes Sudan and South Sudan agreed on Tuesday to resume crude-oil shipments from the landlocked South through Sudanese pipelines and seaports, throwing a potential lifeline to the ailing economies of both African nations.

Central to the pact is an agreement to pull troops back from contested oil-rich regions along the countries' poorly marked 1,120-mile border. Troop withdrawals started on Sunday and are scheduled to be completed within two weeks, effectively establishing a 12-mile...